In App Advertisement – Free App Revenue Model

1. In-App Advertisement
Free App Revenue Model

2. In-App Advertising

3. Revenue Models
There are three different ways app
developers make revenue from their apps

Paid Apps- By selling apps for a fixed
amount

Freemium Apps- Make a free lite version
and earn from in-app purchase for premium
features

In App Advertisement- Free Apps which
show ads and you earn revenue when
users click on ads.

4. Why Display Ads?

Studies have found that ratio of downloads
for free to paid apps is 400:1.

Most developers have noted that in long
run revenue from advertisement is more
than sales revenue

App piracy is a big concern, paid apps
suffer from revenue loss due to it. Apps
with advertisements are safer option for
developers

5. Growth of In App Advertising

A report published by Flurry last year
predicted that In-App Mobile Advertising will
Overtake Online Display Ad Spend By
2012.

The growth chart on next slide shows how
more and more marketers are using in app
advertising, which improves CPM rate,
effectively meaning increased revenue for
app developers.

6. Growth of In App Advertising

7. Ad networks vs Your Own Ads

Once you decide to integrate Ads within
your apps, next step is to choose the type
of ads you wish to display

There are various Ad networks which allow
you to integrate third party advertising in to
your application without having to worry
about selling the advertising, collecting on
invoices, or filling the inventory

8. Ad networks vs Your Own Ads

Or you may wish to show your own ads

Another option is to use Ad Exchange, will
allow you to integrate multiple ad networks
within your app, making sure that inventory
is filled, while also allowing you to run your
own ads within your apps.

9. Why Use Ad Networks?

Most Ad networks work on bidding
mechanism where advertisers bid for the
ad spots.

In general, it will be better option to use an
Ad network if you don't have big
advertisers, or have your own ads.

You can always use your own ads along
with Ad networks using Ad Exchange or
server side scripting

10. Mobile Ad Networks

AdMob is one of the world's largest
mobile advertising platforms, acquired by
Google in 2009. AdMob offers
advertising solutions for many mobile
platforms, including Android, iOS,
webOS, Flash Lite, Windows Phone 7
and all standard mobile web browsers

11. Mobile Ad Networks

iAd: iAd is a mobile advertising platform
developed by Apple Inc. for its iPhone, iPod
Touch, and iPad line of mobile devices
allowing third-party developers to directly
embed advertisements into their
applications. It is available only for Apple
devices

12. Mobile Ad Networks

Millennial Media is one of the leading
independent mobile advertising platform
company. While AdMob and iAd considered
little biased towards Android and iOS
platforms respectively, independent ad
networks like millennial media have good
inventory for all platforms.

13. Mobile Ad Networks

InMobi: InMobi is another leading
independent mobile advertising network in
the world. InMobi is a performance based
mobile ad network, which helps publishers
monetize their inventory and helps
advertisers reach their audience.

14. Mobile Ad Networks
Few other leading Mobile Ad Networks are:

Brightroll

GreyStripe

Jumptap

MdotM

MobClix

ZestADZ

15. Why to use multiple Ad Networks?

A fill rate is the ratio of how many times an
application requests to show an application
and how many times it actually shows up.
You’d think it would be 100%, but it’s never
100%. This means, sometimes ads aren’t
shown when they are supposed to, which
obviously effects how much revenue you
make.

How do we choose one advertising
platform that has the highest payouts but
also has a high fill rate?

16. Using Multiple Ad Networks

Since it is hard to find an ad network that
has the highest payouts and 100% fill rate,
we use Ad Exchange(also called Ad
aggregator) like , Jumptab, Mobklix etc.
Adwhirl

They allow you to integrate multiple ad
networks within your app, making sure that
inventory is filled, while also allowing you to
run your own ads within your app.

17. Summary

Using In App Ads can be good model to
earn revenue from your apps.

Ad networks are preferred as they have
higher CPM in general

Leading Ad networks are AdMob, iAd,
inMobi, Millennialmedia etc.

Ad exchange allows you to have multiple
ad networks as well as your own ads.

18. Contact Us
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